Google has some clues on retaining app users

NEW DELHI:Apps you like IT Brands need to move beyond cost per install to measuring value for their customers, finds Internet search giant's study

While users' phones are bursting with apps, limited phone storage and no relevant engagement with audience have led to people deleting apps. 75% of users uninstall an app within 90 days of downloading it ­ clearly demonstrating challenges in mobile app retention.

Google and ecommerce company ShopClues got together to study how ShopClues app users performed on Google and the value they derived. The study found brands need to move beyond the basics of low cost per install to measuring value for their customers.

ShopClues worked with Google on their universal app campaign and found the Google network helped ShopClues get 2.6 times return on ad spend (ROAS), open rate and 3.6 times higher gross merchandise value (GMV).

“We looked at the lifetime value of customers. App acquisition is like user acquisition. So you're going after users from when they install an app, but we started chasing the transactions,“ said Nitin Agarwal, AVP & Head of Marketing, ShopClues. Google's universal app campaigns streamline a company's whole business, making it easy to promote a company's app on Android or iOS across Google's top products, including Search, Play, YouTube, and the Google Display Network.

“The moment the customer deletes an app within 90 days, and if you paid to get that app downloaded, there is a big question mark, (and companies think of how they) can target only the customer who will not just install but transact on the app,“ said Nitin Bawan kule, industry head, Google.

The reasons why a customer retains an app beyond the first transaction include ­ a great first experience across product, service and website, and the ability of the company to be able to customise things for the customer.

ShopClues found that using the data that Google has access to, it was able to target and retain a serious customer better, open rates of the app doubled, while order rates went up 1.5 times, and order value on the Google network rose 1.4 times compared to their earlier trends.

Bawankule said the strongest platform for Google is search. “It is the strongest platform for us where the intent to buy is very clearly defined by a customer,“ he said.